Lawsuits, Investigations Follow in Wake of Anthem Breach
The privacy breach affecting 80 million individuals covered by insurer Anthem, Inc. has resulted in multiple class action lawsuits and an investigation by the National Association of Insurance Commissioners (NAIC).
The NAIC said recently that it anticipates that all 56 of the nation’s state and territorial commissions will launch their own investigations into the breach and report findings and offer security best practices and recommendations back to the NAIC.
“We are in agreement that an immediate and comprehensive review of the company’s security must be a priority to ensure protection of consumers who are covered by Anthem,” said NAIC President Monica Lindeen in a statement.
Anthem is also being inundated by class action lawsuits—at least 40 of them at press time with more expected—filed by individuals affected by the breach, including one that was filed only 12 hours after Anthem announced the breach, according to Fortune magazine. The suits allege, among other claims, that Anthem failed to notify customers quickly enough after the breach, and that Anthem failed to take adequate preventive security measures prior to the breach.
One suit, filed by Danny Juliano in Alabama, states that Anthem “failed to adhere to reasonable and best industry practices in safeguarding [customers’ personal information],” Fortune reported.